Thursday, March 05, 2009

An Open Letter to Larry Kudlow...

The Politico reported yesterday "it's rumored that [Senator Christopher Dodd (D-CT)] could face a challenge [in his 2010 Senate re-election race] from CNBC host Larry Kudlow, an opponent who would focus the coming election squarely on the economy."

Say it ain't so, Kudlow.

For those not familiar with you, Larry, I provide two links with some fair and balanced info: CNBC, Wikipedia. In short, you are a supply-side economist who served in the Federal Reserve Bank of New York, the Reagan Administration's Treasury Department, and various Wall Street firms with distinction. You are a happy guy; an optimist. You are a conservative, and, as I have observed over the years, a much-needed media friend of the pro-life cause - something we at FRC appreciate greatly. And, since the financial meltdown you have been hosting a M-F 7:00 p.m. hour-long market analysis program on CNBC - now called The Kudlow Report.

In my opinion, The Kudlow Report has become the most important news program in America since the financial crash hit in September 2008. Given the deep recession we are experiencing it is understandable that an economy-focused program would reach such prominence. However, I am sure your ratings do not come close to measuring your impact on American politics, but I believe that I am correct.

As a conservative moderator you have exposed the Bush (bad) and the Obama (failing) economic responses to the financial crash to systematic analysis by many of the best thinkers on Wall Street. You provide this invaluable service on a daily basis with great intellectual rigor. What is crucial here is that a supply-side (non-Keynesian) supporter of free markets has this prominent role on America's foremost business channel. As long as the current economic recession remains unabated, The Kudlow Report will remain the most important source of news on the economy.

This brings me to the alarming rumors of your potential Senate race. I write to urge you to reject any attempts to entice you to run for the Senate in Connecticut.

First, let's assume that you run and defeat Senator Dodd. Under that scenario, it is fair to say that as a junior senator from Connecticut - in the minority (the GOP cannot take back the Senate in 2010) - you would have no chance of attaining the level of influence you now enjoy on CNBC. Being well down the pecking order in a body of 100, you may be able to get a seat on the banking committee, and you would be able to accomplish some good in the Senate: perhaps an amendment here and there; some oversight questions on TV. Not much to compare with being able to teach the nation about core conservative economic principles every evening while assessing the events of the day and interviewing newsmakers.

Second, the chances are not great that you will defeat Senator Dodd. Yes, he has some vulnerabilities on housing and mortgage policies. That said, he is in his fifth term, and his father was a two-term U.S. Senator from Connecticut. The state is very liberal. Connecticut is unlikely to elect someone who would now have difficulty winning a seat in New Hampshire. In sum, you will most likely lose the race, but the costs would be greater than those associated with a failed campaign - lost time, treasure, and effort.

The greatest cost would come from your absence from CNBC. This would be a heavy price to pay because the nation needs daily access to someone guided by sound doctrine analyzing economic and financial developments. This is the job for which your lifetime of work and training has prepared you - not sitting in the Senate. It is no small responsibility to provide accurate economic news to the people of the United States in the worst recession since the 1930s. Unless you stay focused on the task at hand there is little chance that the American people will receive via cable or television the high-quality analysis of Obama Administration policies that they deserve for 2010 and 2012.

About Me

Larry Kudlow

Lawrence Kudlow is CNBC’s Senior Contributor. For many years, he was the host of CNBC’s “The Kudlow Report”. He is also the host of The Larry Kudlow Show, which broadcasts on Saturdays from 10am to 1pm ET on WABC Radio and is syndicated nationally by Cumulus Media. He is also a nationally syndicated columnist and a former Reagan economic advisor. CNBC's The Kudlow Report also airs on Sirius (ch.129) and XM (ch.127) weeknights at 7pm ET.